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Suppose a Parent Company Producing Sportswear Decides Take Back Some

Question 47

Multiple Choice

Suppose a parent company producing sportswear decides take back some formerly franchised outlets and operate them with its own employees.This form of vertical integration will allow the parent company:


A) to practice price discrimination.
B) to charge a uniform price for its products across the globe.
C) to lower its costs of operation and increase sales.
D) to test operating techniques that might make the franchisees bettor competitors.

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